Basic Strategies

Below is the main area.

We aim to improve profits in the domestic P&C insurance business, which is a profit driver of the Group. By shifting resources to promising areas such as domestic life insurance and overseas insurance businesses, we are establishing a more balanced business portfolio and creating a sustainable growth cycle.

NKSJ Group's Numerical Management Targets

On a Group-wide basis, NKSJ is targeting adjusted consolidated profit of ¥160 billion in FY2015.

Definition of business, calculation of adjusted consolidated profit, and calculation of adjusted consolidated ROE are as follows.

<Definition of business>

Domestic P&C insurance: :Sum of Sompo Japan and Nipponkoa (non-consolidated)
Domestic life insurance: :NKSJ Himawari Life (non-consolidated)
(sum of Sompo Japan Himawari Life and Nipponkoa Life until the end of September 2011)
Overseas insurance: :Overseas subsidiaries of Sompo Japan and Nipponkoa
Financial and other services: :Saison Automobile and Fire, Sonpo 24, Sompo Japan DIY, financial services, healthcare, etc.

<Calculation of adjusted consolidated profit>

Domestic P&C insurance

Net income + provisins to catastrophic loss reserve (after tax) + provisions to price fluctuation reserve (after tax) - gains/losses on securities sales and securities impaiment losses (after tax) - extraordinary items

Domestic life insurance

Growth in embedded value (EV) net of capital account transactions - changes in EV attributable to interest rate movements

Overseas, financial and other services

Net income as reported in financial statements

<Calculation of adjusted consolidated ROE>

Adjusted consolidated ROE =

Adjusted consolidated profit / Consolidated net assets (excluding life insurance subsidiaries' net assets) + catastrophic loss reserve (after tax) + reserve for price fluctuation (after tax) + life insurance subsidiaries' EV

* All values in the denominator are the average of the fiscal-year opening and closing balances

Below is the submenu.